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Former Oregon First Lady Hayes Criticized for 'Bad Faith' in Bankruptcy Proceedings

Submitted by jhartgen@abi.org on

The Oregon Government Ethics Commission has accused former Oregon First Lady Cylvia Hayes of using her bankruptcy proceeding to drag out a resolution of her ethics case months longer than needed, the Associated Press reported. Carolyn Wade, a senior assistant attorney general representing the commission, made the claim in a Dec. 31 filing in Hayes' bankruptcy proceeding. Hayes filed for chapter 13 bankruptcy in July 2018. In addition to up to $110,000 in possible civil penalties from 22 ethics violations, Hayes has a more than $124,000 judgment against her for a public records lawsuit The Oregonian won. Wade said the bankruptcy proceeding is meritless. The ethics commission ruled in January 2018 — six months before Hayes filed for bankruptcy — that she violated state ethics laws by using her position for the financial benefit of herself and her business. Many of the violations centered around Hayes' work on environmental consulting contracts while also involved as an unpaid adviser who did energy policy work in Gov. John Kitzhaber's office.